Sprng Energy, AMPIN, Juniper, ReNew, Avaada Win NTPC’s 1 GW Hybrid Auction

Biofuels Firm GPS Renewables Raises $50 Million in Debt Financing

Solar Auctions Surge by 229% in Q1 2024, Tender Activity Up 122%

Global Wind Installations Reached 1 TW Milestone in 2023

Funding and M&A Roundup: Nexamp Secures $520 Million

Project Finance Brief: Arevon Secures $352 Million for Posey Solar Project

Indian Oil Issues Empanelment Tender for Solar Power Projects

Southern Railway Seeks Bids for 1.2 MW Rooftop Solar Projects in Chennai

Husk Secures $4 Million from Electrifi to Scale up Mini Grids in Rural India

Doubling Transmission Capacity of Existing Grid Through Reconductoring: Report


					<table id="amazon-polly-audio-table">
						<tr>
						<td id="amazon-polly-audio-tab">
							<div id="amazon-ai-player-label">Listen to this article</div>
							<div id="amazon-ai-player-container">
			<audio class="amazon-ai-player" id="amazon-ai-player" preload="none" controls   controlsList="nodownload" >
				<source type="audio/mpeg" src="http://mercomindia.com/wp-content/uploads/2022/08/amazon_polly_39975.mp3?version=1660883437">
			</audio>
		</div>
							<div id="amazon-polly-subscribe-tab"></div>
							<div id="amazon-polly-by-tab"></div>
						</td>
						</tr>
					</table><p>The Uttar Pradesh Electricity Regulatory Commission (<a href="https://www.uperc.org/" target="_blank" rel="noopener">UPERC</a>) recently directed a captive power generator to provide details of the energy that had been procured through open access for the financial year (FY) 2018-19 to FY 2021-22, and the renewable purchase obligation (RPO) compliance report.</p>
<p>The Commission directed the petitioner to purchase the required renewable energy certificates (RECs) from the exchange within three months to fulfill its RPO targets.</p>
<p>Shree Cement had filed a petition to allow the carry forward of RPO compliance requirement for FY 2018-19 to FY 2021-22 due to difficulty in complying with RPO targets of its cement grinding unit in Uttar Pradesh.</p>
<p><strong>Background</strong></p>
<p>Shree Cement is engaged in manufacturing cement and electricity generation. It has its cement manufacturing units in Rajasthan, Uttarakhand, Haryana, Jharkhand, Bihar, Chhattisgarh, Odisha, and Karnataka. It has captive generating units in Karnataka, Rajasthan, and Chhattisgarh.</p>
<p>The petitioner also has a cement grinding unit in Uttar Pradesh, which avails 12.24 MW of power under open access.</p>
<p>Shree Cement said that for FY 2018-19, the solar RPO deficit was due to the limited availability of solar RECs, which resulted in pro-rata allocation. This led to the allocation of a lower number of RECs by the power exchange.</p>
<p>Citing Regulation 5.4 of the UPERC RPO Regulations 2010, the company requested the Commission to allow the carry forward of the deficit from FY 2018-19 to 2021-22. It added that there was genuine difficulty in meeting RPO targets due to the non-availability of power.</p>
<p><strong>Commission’s analysis  </strong></p>
<p>The Commission noted that there was a long delay in filing the petition and wanted to know why no petition was filed during FY 2019-20 and FY 2020-21. It also sought details of the transactions that were made on power exchanges and other open access transactions to determine the RPO of the petitioner.</p>
<p>The petitioner submitted that the Appellate Tribunal for Electricity (APTEL) had <a href="https://mercomindia.com/trading-renewable-energy-certificates-postponed/" target="_blank" rel="noopener">ordered</a> a stay on REC trading in FY 2020-21. It was one of the reasons for the petitioner’s inability to meet its RPO targets. It would be able to clear the deficit by FY 2022-23, it said.</p>
<p>Certain restrictions were also imposed in Karnataka on the sale of renewable power outside the state, which made it difficult to meet the RPO targets. It added that it would purchase the RECs required to meet its RPO requirements by the end of this year.</p>
<p>The Commission directed Shree Cement to provide the complete details of the energy procured through open access and the RPO compliance report.</p>
<p>It asked the captive power generator to purchase the required RECs within three months to meet its RPO targets or attract penalties.</p>
<p>Last June, UPERC <a href="https://mercomindia.com/uttar-pradesh-renewable-purchase-obligation/" target="_blank" rel="noopener">directed</a> Uttar Pradesh Power Corporation (UPPCL) to deposit ₹72.45 billion (~$978 million) in the RPO Regulatory Fund, including ₹14.59 billion (~$197 million) on account of a shortfall in RPO compliance until the FY 2020-21 and ₹57.85 billion (~$780.93 million) against projected RPO requirements for FY 2021-22.</p>
<p>Subscribe to Mercom’s real-time <a href="https://mercomindia.com/product/mercoms-renewable-energy-regulatory-updates/" target="_blank" rel="noopener">Regulatory Updates</a> to ensure you don’t miss any critical updates from the renewable industry.</p>
<div class="saboxplugin-wrap" itemtype="http://schema.org/Person" itemscope itemprop="author"><div class="saboxplugin-tab"><div class="saboxplugin-gravatar"></div><div class="saboxplugin-authorname"><a href="https://cms.mercomindia.com/author/rakesh-ranjan-parashar/" class="vcard author" rel="author"><span class="fn">Rakesh Ranjan</span></a></div><div class="saboxplugin-desc"><div itemprop="description"><div class="designboxt">
<p><img class="alignleft" style="border-radius: 50%;height: 50px;margin-top: -4px;border: 1px solid #00b451" src="https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2022/02/Rakesh-Headshot-crop-2.jpg" width="50" /></p>
<p><strong style="text-decoration: underline">Rakesh Ranjan,</strong> Staff reporter at Mercom India<br />
<a href="https://mercomindia.com/author/rakesh-ranjan-parashar/" target="_blank" rel="noopener">More articles from Rakesh Ranjan.</a></p>
</div>
<div class="authorboxn">
<p><img class="alignleft" src="https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2022/02/Rakesh-Headshot-crop-2.jpg" width="77" height="102" /><a href="https://mercomindia.com/author/rakesh-ranjan-parashar/" target="_blank" rel="noopener"><strong style="color: #00b451">Rakesh Ranjan</strong></a> is a staff reporter at Mercom India. Prior to joining Mercom, he worked in many roles as a business correspondent, assistant editor, senior content writer, and sub-editor with bcfocus.com, CIOReview/Silicon India, Verbinden Communication, and Bangalore Bias. Rakesh holds a Bachelor’s degree in English from Indira Gandhi National Open University (IGNOU). <a href="https://mercomindia.com/author/rakesh-ranjan-parashar/" rel="noopener noreferrer">More articles from Rakesh Ranjan.</a></p>
</div>
</div></div><div class="clearfix"></div></div></div>

Captive Power Generator Directed to Purchase RECs to Meet RPO Targets

captive-power-generator

Get the most relevant India solar and clean energy news.

RECENT POSTS